01—Abstract
Summary
Summary of the 10-Q filed August 29, 2025. Cited figures are marked; the original filing is the authoritative source.
TJX Companies reported a solid second quarter for fiscal year 2026, with net sales increasing by 7% to $14.4 billion and diluted earnings per share rising to $1.10a from $0.96 in the prior year.
This growth was driven by a 4% increase in comparable store sales, indicating strong customer demand. The company continued to return capital to shareholders, repurchasing $1 billionb in stock and paying dividends, underscoring its commitment to shareholder value. Operationally, TJX demonstrated improved profitability with a 0.5 percentage point increase in pre-tax profit margin to 11.4%.
This was supported by a slight decrease in the cost of sales ratio and a reduction in the SG&A expense ratio. The company's diverse segment performance, with Marmaxx and HomeGoods showing robust growth and TJX International also contributing positively, highlights the resilience of its off-price retail model across different markets.
02—Key points
Key Highlights
- Net sales increased 7% year-over-year to $14.4 billion for the second quarter of fiscal 2026.
- Diluted earnings per share (EPS) grew to $1.10, up from $0.96 in the prior year's second quarter.
- Comparable store sales (comp sales) increased by 4% across the consolidated company.
- Pre-tax profit margin improved by 0.5 percentage points to 11.4% compared to the prior year's second quarter.
- The company returned $1 billion to shareholders through share repurchases and dividends during the quarter.
- Merchandise inventories increased by 10% year-over-year on a per-store basis, reflecting inventory build-up.
- HomeGoods segment demonstrated strong growth with a 9% increase in net sales and a 5% increase in comp sales.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ2 FY2026filed August 29, 2025Financial Statements
Q2 FY2026 against Q2 FY2025
| Line item | Q2 FY2026Q2 FY2025 | Change |
|---|---|---|
| Revenue | $14.40B$13.47B | +6.9% |
| Cost of Revenue | $9.98B$9.38B | +6.4% |
| Gross Profit | $4.42B$4.09B | +8.2% |
| SG&A Expenses | $2.81B$2.67B | +5.2% |
| Net Income | $1.24B$1.10B | +13.1% |
| EPS (Basic) | $1.11$0.97 | +14.4% |
| EPS (Diluted) | $1.10$0.96 | +14.6% |
| Shares Outstanding (Basic) | 1.11B1.13B | −1.3% |
| Shares Outstanding (Diluted) | 1.13B1.14B | −1.4% |
05—Questions
Frequently Asked Questions
How did TJX's sales perform in the second quarter of fiscal 2026?
TJX Companies reported a 7% increase in net sales, reaching $14.4 billion for the second quarter of fiscal 2026 compared to $13.5 billion in the same period last year. This growth was supported by a 4% increase in comparable store sales, driven by higher customer transactions.
What was TJX's profitability and earnings per share in the latest quarter?
The company's profitability improved, with the pre-tax profit margin increasing by 0.5 percentage points to 11.4% in the second quarter of fiscal 2026. Diluted earnings per share rose to $1.10, up from $0.96 in the prior year's second quarter.
How is TJX managing its inventory levels?
Consolidated average per store inventories increased by 10% at the end of the second quarter of fiscal 2026 compared to the prior year. This increase reflects an inventory build-up and includes sales from Sierra stores, which were incorporated into inventory calculations starting in the first quarter of fiscal 2026.
What is TJX's strategy for returning capital to shareholders?
TJX returned $1 billion to shareholders during the second quarter of fiscal 2026 through share repurchases and dividend payments. The company has an ongoing stock repurchase program with approximately $2.4 billion remaining available for future repurchases as of August 2, 2025.
06—Continue